Registered: Feb 2009
05-12-09 04:47 AM
Once you orient yourself to the market on the longer term, you assume that the odds favor one side more than the other.
In this case we believe that the odds favor the long side. Although we take trades on both sides we may size our long positions bigger and we may give them more wiggle room (bigger stops).
One method that works consistently well is to combine signals from several methods to find an entry. When two or more of these signals occur in close physical relationship to each other we believe that the chances of success are increased, because there are likely to be more traders on the trade.
We look for signals using the following sources
1. Market Profile numbers
4. Ergodic Indicator
5. MACD indicator
Where two or more of these "line up" in close proximity, we call that "confluence" and assign that setup higher odds of success.